Frequently Asked Questions

Q1. What is long-term care?

Long-term care (LTC) is a variety of services which help meet both the medical and non-medical needs of people with a chronic illness or disability who cannot care for themselves for long periods of time.

There are several categories of long-term care services to consider. Typically, these services need to be tailored to suit each individual’s unique needs and level of support. There is no one-size-fits-all solution – instead, a combination of care services are often put together after a thorough assessment of an individual’s needs.

Here are the principal types of long-term care services:

I. Activities of Daily Living (ADL)
These include support for the most basic daily living chores, typically for those with mobility restrictions or are in later stages of life.
Example: Feeding, grooming, continence issues, etc.

II. Instrumental Activities of Daily Living (IADL)
The provision of assistance for higher-functioning activities that add further enrichment to one’s daily living.
Example: Managing finances, shopping, using telephones and devices, home maintenance, etc.

III. Elder Care services
This involves the facilitation of one’s healthcare and physical upkeep.
Example: Health and mental health check-ups, physical exercise, management of medication, etc.

IV. Specialised Care Services
Tailored services to manage special conditions and disabilities that commonly affect the individual, such as Alzheimer’s disease, Dementia, Parkinson’s Disease, Down Syndrome, Autism, learning disabilities and so on.

Q2.How much do I have to put into CareTRUST™ account?

A minimum of RM30,000 to open your CareTRUST™ account.

Q3. What is the cost incurred to open a CareTRUST™ account?

Fee incurred to open a CareTRUST™ account includes:

1. Setup fee RM1,500 + GST + Stamp Duty
2. Annual fee of 1% per annum of the gross value of your Trust Assets payable on a quarterly basis.
3. Monthly care administration fees RM300 + GST upon your commencement of care.
4. Dissolution fee RM2,500 + GST for dissolution or termination of your CareTRUST™.

Q4. How is CareTRUST™ different from other trusts? i.e. Private Trust

CareTRUST™ not only helps to manage your monies for care, but also helps you to monitor and review the provision of care, where the Care Administrator comes into play.

Q5. Can I invest the money in my CareTRUST™ account?

By default, your monies in your CareTRUST™ account will be invested in a cash management solution via KenWealth. However, you have the absolute discretion to direct the trustee to switch and choose from the range of investment products offered by KenWealth.

Q6.What will happen to the remaining monies in my CareTRUST™account upon death?

The balance in the CareTRUST™ will be distributed to the beneficiaries named in the CareTRUST™. In the event all of the beneficiaries do not survive to receive the balance, such balance will be distributed to the estate of the Settlor.

Q7. Can I place my other non-cash assets into CareTRUST™ account?

No. CareTRUST™ only accepts cash. However, you may set up alternative trusts for your non-cash assets for care purposes, and appoint Managedcare as Care Administrator.

Q8a. Can I open a CareTRUST™ account which is not under my name? i.e. parents, special needs adult etc.

Yes. You can always open a CareTRUST™ account for your loved ones, i.e. parents, spouse etc. to ensure they are well taken care of.

Q8b. Can the CareTrust™ account receive contribution from multiple donors apart from the Settlor?

Yes. For example, your siblings can contribute to the CareTrust™ account which you have opened for your parent.

Q9. Is there any fixed duration for CareTRUST™?

No, there is no fixed duration for CareTRUST™.

Q10. Is CareTRUST™ a unit trust fund?

No. It is a living trust to put aside money for your health and long-term care.

Q11. Is the CareTRUST™ revocable? If yes, under what circumstances?

Yes. Your CareTRUST™ is revocable at anytime at your discretion. Please note your CareTRUST™ is automatically dissolved should the balance fall below the minimum threshold of RM25,000 and upon death of the Settlor at which time the balance of the CareTRUST™ will be paid to your beneficiaries.

Q12. What is Kenanga’s nature of business and role for CareTRUST™?

Established for more than 40 years, Kenanga is a financial group in Malaysia with extensive experience in equity broking, investment banking, listed derivatives, treasury, corporate advisory, Islamic banking, wealth management and investment management. Today Kenanga Investment Bank Berhad is the largest independent investment bank by equity trading volume and value, as well as is one of the top three brokerage houses with the largest network of remisiers in the country.

Kenanga wealth management, also known as KenWealth is an integrated wealth management platform, providing a holistic wealth management products & services to cater for your needs.

Q13. Where is the Trust Asset kept?

The Trust Asset will be invested in a cash management solution, default Fund is the Kenanga Principal Protected Income Fund (KPPI).

Q14. Who will manage the Fund?

The Fund is managed by Kenanga Investors Bhd.

Q15. Who is the point of contact if I have any enquiries about my Trust Asset?

Managedcare.

Q16. What does the "pre-allocated money market cash management solution" mean?

By default, the Trust Asset will be invested in KPPI.

Q17. What is the estimated return on investment for my Trust Asset? Is it a guaranteed return?

As it is a money market fund, the KPPI does not have a guaranteed return. However, the Fund’s investment strategy to place its funds primarily in a diversified portfolio of short-term money market and deposit-based instruments that are not subject to market valuation risk.

As at 31 December 2015, the 1 year total return for the KPPI is 3.27%.

Q18. Will my money be protected?

Yes, the investment is protected as the investment objective of KPPI is to provide investors a regular stream of income from the short-term money market returns which is competitive to that offered by fixed deposits, while preserving its capital by placing the funds primarily in short-term money market and deposit-based instruments issued by licensed financial institutions with a minimum of RAM A3 or MARC P2. The fund also provides a high level of liquidity.

Q19. What are the available options to keep my Trust Asset?

Depending on your risk appetite, there are many options for your Trust Asset. KenWealth’s platform has more than 280 unit trust funds (UT) and private retirement schemes (PRS) funds to choose from. They represent a variety of asset classes, geographical focus and investment mandates to achieve your desired goals.

Q20. Is there any fees incurred for switching my Trust Asset from the pre-allocated money market cash management solution to other investment products?

No, you may switch at no cost.

Q21. Do I get updates with regards to my Trust Asset/investment?

Rockwills will monitor the balance and inform the client if the balance falls below the minimum threshold of RM25,000. Rockwills or Managedcare will inform the client by written notice (via email/post) to top up money into CareTrust™.

Q22. Is there any online account or statement for viewing the fund status?

Rockwills will forward the statement from KenWealth & other relevant bank statements to clients on quarterly basis.

Q23. Is my Trust Asset eligible for deposit insurance protection?

No, this is not protected under Perbadanan Insurans Deposit Malaysia (PIDM).

Got a question? Feel free to ask us.